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SALES PROCESS

What is Selling
Selling is to identify and/or uncover a need and then satisfy the need with our product / services for mutual benefit

Based on Studies:
There are very few professional buyers of life insurance.

Action Plan

Work with a selling strategy that will cause the prospect to participate in the buying process.

. whether protection. retirement or disability.Mastery of The Sales Process
Assures you of an effective selling strategy which helps you close the sale on any product. savings.

The Buying Process
What is Consumer Buying Behavior? What do you perceive?
.

. Need to understand: why consumers make the purchases that they make? what factors influence consumer purchases? what are the changing factors in our society.Definition of Buying Behavior
Buying Behavior is the decision processes and acts of people involved in buying and using products.

A consumer.Categories that Affect the Consumer Buying Decision Process

1. 2. making a purchase decision will be affected by the following three factors: Personal Psychological Social
. 3.

Personal
Unique to a particular person. Who in the family is responsible for the decision making. Race. Demographic Factors. Young people purchase things for different reasons than older people
. Age etc. Sex.

Actions are effected by a set of motives. not just one.A motive is an internal energizing force that orients a person's activities toward satisfying a need or achieving a goal.Psychological factors
Motive .
. If marketers can identify motives then they can better develop a marketing mix (MASLOW hierarchy of needs) Physiological Safety Love and Belonging Esteem Self Actualization Need to determine what level of the hierarchy the consumers are at to determine what motivates their purchases.

The Buying Process
What a funny subject! We are here to learn selling, not buying. Professional selling means satisfying buyer¶s needs. We can sell to the buyer only if we know how he buys.

Let us see how people buy
In any type of selling, we have a buyer who buys to satisfy a need. It could be hunger,thirst, entertainment or relief from pain. Recall a person buying a newspaper or magazine while waiting for a bus or a train. Why does he buy the newspaper? Perhaps he wanted to know the latest news.

Once he decides to act. you will be far more effective in your selling. We shall now look at the next stage.
.Recognizing Need
Your need here was news. If you know the buyers needs and motivation to buy. the buyer begins exploring possible options that will satisfy his need. At this stage of the decision making process the buyer moves away from minor irritation to real dissatisfaction. A salesperson ought to keep the buyer as his or her focal point.

She has already recognized the need for vegetables.She will look at the prices. .There are different brands like Timex. quality and the individual selling the same. Solar etc. Titan.. Maxima. . . Imagine your wife or mother buying vegetables.Evaluating options
This stage begins with a confusing array of choices and options. Citizen.Now in the market there are all sorts of vegetables available. .Rolex etc.There are also different types of watches like Quartz. . Similarly while buying a watch.
. the choices are unlimited.Finally there are many models to choose from. .

The part where the buyer has to pay. It is only when all these doubts are eliminated that the buyer is ready for the final decision. All kinds of doubts crop up in their minds.Eliminate Doubts
Now we come to the interesting part. whether the features are what they wanted or whether the quality is what is being promised crop up. Doubts like whether they are paying the right price.
.

he goes ahead with the decision to buy.Delighted consumers engage in positive word-of-mouth. . Since the buyer has satisfied himself about the doubts . Cognitive dissonance is common Post-purchase anxiety that results from an imbalance among an individual¶s knowledge.Unhappy customers tell on average 11 other people. and attitudes is called cognitive dissonance
. Remember: Satisfaction is important: . beliefs. .It costs more to attract a new customer than it does to retain an existing customer.Decide
Finally the buyer goes ahead and decides to purchase the product or service. This is the final stage of the buying process. This is the last stage of buying.

Summary
To summarize. we have a four stage buying process Recognize Need Evaluate Options Eliminate Doubts Decide to buy This is called the µREED¶ process
.

The Selling Process
.

Do sellers also go through a similar process?
.Background
We have seen that buyers go through a common buying process.

This is called opening the sale. your co. introduce yourself . the décor. You may also make some small talk about the weather.. sports etc to establish some sort of rapport.your product or service .
.Opening a sale
When you visit a client for the first time you usually greet him.

Finding out specific details about the customer¶s problems.Developing the sale
You may now try to find out certain details about the buyer. you are likely to get into trouble . budget or buying criteria is called Developing. needs.
. Sometimes the buyer would not have recognized a clear-cut need. A computer salesperson would like to find out the type of problems his customer is facing with his present solution being used. If you go ahead with the selling process without finding all out this information. He would probably also want to know the kind of budget his customer has for systems. This is where you come in.

This stage of the selling process goes hand in hand with the µRecognize Need¶ stage of the buying process. Your solution therefore should fit into the buyers criteria. You may also need to know your client¶s buying criteria. In addition you may also need to know your customers budget. the salesman may talk about a washing machine . So when he goes into a Consumer Durable showroom to buy a mixie.While developing you can get the buyer to realise his needs. For instance. a husband may not recognise that his wife needs a washing machine.
. thus creating a need in the mind of the buyer.

Your solution is one of the options that the buyer evaluates.Presenting the solution
Now that you have µDeveloped the sale¶ and are clear about the customer¶s needs.
. you propose a solution.budget and buying criteria. your efforts should be directed at proposing a solution which is closest to the buyer¶s needs. the buyer would purchase your service. This stage ties in neatly with the µEvaluate Options¶ stage of the buying process. its features and the benefits it gives your customers. As a logical extension. Once you succeed at this. if you have more than one product. This is done by proposing your solution . At this stage you should try to project those features of your service which satisfy his need and will result in sale.

he will not make a purchase decision. The doubts may be about the product. This stage is also called the objection handling stage. You have to handle all these questions and ensure that the buyer is satisfied with your answers. the features. This ties in with the µEliminate Doubts¶ stage of the Buying process. he would usually have some doubts about his choice. quality. price. warranties etc.Eliminating Doubts
Once the buyer chooses your product from the options available to him. Your job would be to ensure that all these doubts are eliminated. Unless the buyer is satisfied on this count.
.

All these activities involved in bringing a sale to a favorable end are collectively referred to as Closing. If you falter at this stage and do not help or prompt the buyer to come to a favorable decision. You would then be the hockey or football team which is brilliant in dribbling but poor at scoring. You will have to use all your tact and skills to lead him into this stage.
. You will have to increase the dissatisfaction he has with his current product or service till he reaches a point where he has to discard the old product and buy yours.Closing
By now the buyer is convinced that your product will satisfy his needs. Closing is to selling process what µDecide to buy¶ is to the buying process. the sale may be lost.

the selling process consists of the following stepsOpening Developing the sale Presenting solutions Eliminate doubts Closing
.Summary
To summarize.

´
³Prospecting is nothing but the foundation and the structure on which your business is based´
.Step 1 :Prospecting
³Prospecting is the cornerstone of your sales business.

the more sales you have.
On an average a week should look like PROSPECTS
60 : Approach
18 : Appointments Seen
9 : Closing Interviews
3 Sale
.The more prospects you see.

No Prospecting =

No Income

Either you prospect or you die ! If you get the foundation right it will help you in reaching your dream«. The success or failure you have in business will be in direct proportion to your ability to prospect. Prospecting requires physical action. ³Prospecting is the conscious, directed and continuing activity of seeking, observing, identifying and qualifying people.´

List - In Prospecting everyone is your suspect.
The 1st stage of prospecting involves making a list of your suspects under the various natural market categories and from secondary market leads. .

Problem: A guarantee that his family will be able to continue to live in the home. he would have earned. in case he loses his earning power through death or disability. or cash to start in business. if
he is taken away from them. Problem: Maintaining the regular income. Problem: He must provide his own retirement.
The man with growing children. The man with a mortgaged home.
 The man with a new baby.
. Problem: How to start a fool-proof plan that will guarantee his child a college education. he has no income if sick or
disabled and unable to practice.  The professional man.

Problem: In case something happens to him. Problem: A plan that will give her money for emergencies.
The newly married couple. or part owner. he wants a guarantee that his heirs will receive value for his interest. or to supplement her future husband¶s income. Problem: A method of saving for the future which does not require unnecessary financial hardship.  The business owner.
. for setting up a home.  The working woman.

Prospecting Habit #2
Qualifying These People Get as much information as you can to make sure they are real prospects for you. ³Familiarity breeds confidence!´
.

. The book of names (PROSPECTS REGISTER) is an effective system to file the information of your prospects.Prospecting Habit #3
Record This Information Be Organized.

For every prospect or client served. Ask for Referals
.Prospecting Habit #4
Get Introductions To People Try to meet people under the most favorable circumstances. whether the case is closed or not.

. repeat calls simply develop into friendly chats that lead nowhere. A prospect whom. in many cases.Prospecting Habit #5
Eliminate China Eggs Do not waste time on people whom you keep calling on over and over again but who never buy anything.

Securing An Appointment
 Refers to the pre-approach calls you make  Making contact to establish a definite time and location for your initial interview  Made either by telephone or in person
.Step 2: Pre Approach.

Why Is An Appointment Important ?
 It saves time  It adds prestige  It increases the chances of making a sale
.

you may conduct the interview at the time of the call. The only purpose of your call is Not to sell an Insurance Policy
.Keep in mind !
 You should seldom press for an immediate interview  The interview should be started at the convenience of the prospect  In some cases. if you are calling on a close friend or acquaintance.

.
 Knowing exactly what you are going to say will give you confidence and allow to express yourself effectively.In Your Pre-Approach
 The words you use must be practiced and rehearsed until saying them becomes an natural as breathing.

.Good Telephone Techniques
 Have a definite time for phone calls  Address prospect by name  Speak into the mouthpiece  Be a good listener  Find a conductive place for making phone calls.

is it a good time to speak to you? Good morning Mr. Pravin. is it a good time to speak to you?
. this is Amit from Reliance Capital Services My friend Rajesh has referred your name to me. Prvin.Introduce Yourself
This is Amit from Reliance Capital Services Mr.

Use Power Statements
I need to see you I suggest plans, which could meet most of your financial goals I assist people to create long-term assets People find immense value in short meetings with me

Close Appointment
With your busy schedule can we have some time for our meeting? Mr. Prashant, would it be convenient for you tomorrow at 4.00 pm, or at 7.00 in the evening? Could I have the address of your office/home?

Ignore The First Objection
The first objection is smoke screen / stalling Back-off and ask a counter question Mr. Sharma, let me ask you a question ± When was the last time you reviewed your existing saving plans? I can do that for you, with no commitment from your side ± can we now meet tomorrow at 5 pm?

Sharma.Close at 2nd Objection
 Acknowledge the second objection. I promise not to sell you anything. and say ± Mr. you would be the sole judge and have no regrets for meeting me!  Be Persistent and Polite and at least take 3 NOs¶ before you wish to quit
.

Prashant.Confirm
Say thank you for the appointment and confirm date.00 in the evening Mr. Prashant. Thursday at 7. I shall meet you at your residence on 29th Feb. thank you very much for the appointment and have a nice day´
. time and venue Mr.

Telephone Etiquettes
 Always allow your prospect to end the call  Please do not keep the Prospect on HOLD  Let the prospect not hear the MUSIC in your house
.

To meet future needs 2. They may not consume their present earnings totally 3. They would like to save income tax by a choice of saving. They want their saving to grow by earning returns (interest or dividends) on them 4.
. Why do people save? 1.Basics of Personal Planning
An approach to fact finding Q.

What is the objective of financial planning?
To ensure that you save adequatelymeet you financial goals As financial consultant we have to bring a change in people¶s thinking from Income ± Expenses = Saving TO Income ± Saving = Expenses
.Q.

term investment They are able to take risks and invest for long term. The weighing of above factors in making a decision would depend on Life Cycle Stage of the investor  Investors who ³ inherit wealth´ look for long. their general preference is therefore in post office MIS
.  Investors who ³ accumulate wealth suddenly´ would like to Conserve it and would prefer low-risk investments.  Retired people who need regular income would prefer high safety. Their liquidity needs are low.

unable to meet financial goals
.Meet you financial goals
.The Principle of financial planning
Start early Start late .ability to save less( though willingness could be here) .Save less .

you have to save more.
. Therefore despite of willingness there are limitations to saving.2: Rs 7. 50 lacs If you start early you need to save less to reach your financial goals.215 pm invested from age 35 till age 60. But a person¶s ability to save reduces with increasing age as liabilities towards family. If you start late.Example. earning returns @6% 35 60 Investment period =25 years Maturity at age 60 = Rs.

Questioning Skills
Why ask question ?  To get general information  To understand customer¶s requirements  To understand customers mind  To make the other person think  To take time for doing our thinking  To open a dialogue which leads to a good rapport building
.

What to do when you are asking questions?
 Ask one question at a time  Probe further when you receive short answers  Do not interrogate the prospect
.

Open Question
Open neutral Question is likely to give long uninfluenced answers Open Leading Question is likely to give long influenced answers Where Key Words : What When Which
How SHORTER THE QUESTION MORE OPEN IT IS
.

Closed Question
Likely to give short influenced answer««Often just µYES¶ or µNO¶ Key words Are Can Do Am Have Is
.

Significance Of Communication
Verbal .35% Non-verbal .65%
.

even by converting vague concern into concrete needs.It is our job to uncover the needs of the prospect.
Improve Security Quality of Life Self worth at old age or in case of disability Maintain Lifestyle at old age Lifestyle after the breadwinner passes away Standard of living after serious illness Reduce Worries about the future Dependencies on others at old age Trouble with different investments
.Identifying needs
Finding out your prospect¶s needs is the key to successful selling.

Then Provide Prospect with the solution based on his priorities To do this we need to have his Personal financial Details««
.

for me to understand your financial need. Promise: I Promise you.
. I would need details of your personal finances. X. the information you share with me not go beyond this room unless you wish to share with someone.Fact Finding ± Lead with Need
Mr.

Essentials
Please pen down the name of the prospect. name of his children to personalize the document.age) Parents Wife Occupation
. Prospect Name DOB Profession Children( name.

. Policy Type Start Year Term Maturity Age Protection Premium
Total
Mr. X you are currently paying premium of Rs.Analysis of Existing Life Insurance Policies
Sr . _____________ till maximum age_____. ________ and your protection is Rs.

Analysis of Existing Saving Plans
Sr . Saving Instrument Value Term Retur ns Safety Protection
 Explore if any of these saving instruments can be liquidated partially/totally to fund insurance premium to increase the protection level  To know the risk-return profile and saving habits of the prospect
.

identifying their financial shortfalls. Selling is not just talking but making the prospect talk and then our doing the talk
. As the needs analysis is the focal point of the sales interview it is worthwhile considering the benefits that can be derived from a properly constructed needs analysis.. establishing their needs and determining realistic objectives to satisfy those needs.Step 5: Sales Presentation .Solutions and Recommendations
The needs analysis should be used to guide prospects through the most important part of the sales process.e. i.

Step 6 :Handling Objections.What is an Objection?
Objection is an Unanswered Question
.

Why Do We Get Objections?
Ô Lack of Trust in product / service Ô Lack of Quality Information Ô Lack of Clarity Ô High perceived value of product/service Ô Prospect wants to postpone the decision till he consults a decision maker
.

Two factors will determine your success in overcoming objections:
Your Attitude Objections are not obstacles to closing the sale Welcome the objection as a useful information to determine your prospect¶s thought process Your Technique Learn and master the technique for handling objections and you¶ll be able to remain poised and react calmly
.

Types Of Objection
: Insincere Objections
These are not motivated by logic or truthfulness but only a sales resistance
: Unspoken Objections
These are moments when the prospect does not respond or speaks out his thoughts
: Genuine Objections These are serious ones and has a ring of sincerity.
. providing a clue to the prospect¶s thought process.

. excuses or stalls. It¶s expressed in alibis.Things To Remember About Objections:
Ô
Ô Ô
The first objection is not the real objection but only a sales resistance. Genuine objection will have the ring of sincerity Make the genuine objection the final objection.

Defer
Ask permission to answer the objection later to rob some of its potential strength.Three Ways Of Handling Objections:
Ignore Insincere Objections
Maintain your poise and build the prospect¶s confidence by displaying empathy and patience.
Too Early Objection to keep the sales talk on the track.
Answer
Genuine Objections
Answer the Objection to your prospect¶s satisfaction.
To Answer It master the Technique
Here It Is
.

´
Yes
Go to Step 4
No
Go back to Step 2
.2
Probe Gently (Ask the Prospect why he thinks so?)
ÔCustomer expands on his Objections ÔGives us even more time to think ÔCustomer may provide leads for the solution. 3 Restate to clarify ³I want to make sure that I understand how you feel and what you are saying is««««««««««««««««« ««..

4
Isolate objection
³Apart from this concern. is there any other reason that¶s keeping you from acting on this plan now?´ Yes Go back to Step 2 5 No Go to Step 5
Lock the prospect (set up the ground rules) ³If I can take care of this to your satisfaction ± can we proceed further with the plan?´ Yes Go to Step 6 No Go back to Step 2
.

Stimulate action (Confirm the Answer) Make sure that you have answered the objection to the Prospect¶s satisfaction. ³Does that fully answer your question?´ ³Does that ease all your concern?´
7
Yes CLOSE
No Go back to Step 2
.6
Answer the objection Respond indirectly by using a motivating story or respond with a tactful reply.

You Will Be Delighted With The Results! Remember Selling isn¶t Telling
. Use It Until It Becomes A Habit.Put It To Work In Your Daily Selling Routine.

How did you reach here?
After making 60 approaches? Would you like to close or lose 60 approaches? Would you like to earn your weekly commissions NOW? Would you like to make the day for you?
.Step 7:Closing.

when you call your prospect NEXT? Did you create a desire in the Prospect¶s Mind.Why Close NOW?



  

Would you like to hear NO. only for your competitors to Sell? Would you like your Prospect to utilize the Budget for something else? The Prospect might get to hear a wrong advice Someone else in your company could close him You also lose 3 policies from those 9 very valuable and highly recommended referrals! And you lost that recognition which you always deserved just short of 1 policy
.

. nothing is more contagious than your enthusiasm An assertive attitude of expectancy coupled with a planned strategy will help you close more sales.Things To Remember In Closing A Sale
The object of your sales effort is to motivate your prospect to make a decision in your favor NOW! Emotions drive prospects into decisions In closing.

He indicates concern about his problem. He cooperates better. His facial expression reveals concern. He asks questions. He asks questions as if he had made the purchase. His tone of voice changes. He begins to pay closer attention. He becomes involved. nods his head. He scratches his head. rubs his chin. He becomes more friendly towards you. He pulls his chair up closer. he begins to study your proposal.
.Learn to Recognize the BUYING SIGNALS
He puts on his glasses. He leans forward. He begins to calculate the benefits.

.Closing Conditions
Be prepared ± speak with AUTHORITY Establish DEADLINE ± keeps you say most important words ± business like Be Determined to close TODAY Project POSITIVENESS Check your Enthusiasm Level .Presentation you make .Recommendation you made Become a Enthusiastic and Confident ³Assistant Buyer´ and be prepared to ask the Prospect BOLDLY! Take your Prospects mind off the big decision by asking minor question.Closing is ³Transfer of Enthusiasm´ your conviction in the plan becomes the prospects conviction Confidence Level .

2.
Trigger Benefits Close
Assist your Prospect in imagining the utility of maturity benefits of the Plan ± make him imagine his post retirement life / child¶s higher education / daughter¶s marriage.
. Speak about the timely utility of rider activation.

3.
Stalling Close
To overcome ingrained buying resistance No Need ± that is exactly why you need to buy No Money ± that is very reason why you must buy No hurry ± that is the very reason why you should be buying NOW!
.

I am into business. I can¶t plan regular premium ± We have limited payment premium facility I can¶t pay annual ± Would quarterly payments suit you most?
.4.
Objection Close
Take the objection and make it the reason to buy.

. Make him say Yes several times.5. need analysis and Plan building.INVITE ³Does this Plan now meets most of your needs?´ Keep seeking his consent while doing the fact finding. Invitation Close
After presenting the ³solution´ and matching with the need analysis from fact finding .

In the Process summarize every single feature.6.
. Ben Franklin Close
America¶s first self-made millionaire Write down at least 10 reasons how the Plan meets the Prospect¶s Needs. advantage and benefit of the Plan.

Trial Close
Ask trial closure questions Would you like to undergo medical examination tomorrow morning or evening? Would you provide me a photocopy of passport or school certificate as your DOB proof? Whom would you like to nominate for your insurance policy? May I help you to fill this proposal form? Would you like to have shorter premium payment terms?
.7.

Assumption Close
Assuming that the Prospect is willing. start the process of documentation and seek his participation
.8.

. which the prospect could relate to his situation.9. People seldom forget interesting stories.
3rd Party Story Close
You could wish to narrate an interesting story.

Door Knob Close
With very stubborn Prospects. Turn back and ask ± Before leaving may I ask you 1 simple question that would help me in my profession? What stopped you from buying this Plan? This is final and last effort to invite the key Objection If you get it. thank him for the time and just pack your bag and walk towards the door.10. you could make your day!
.

check your enthusiasm level and make a powerful closing phrase and keep silence ««««.
.11. Sudden Death Close
If your Prospect has called you on 4th occasion.. just keep the filled form in front of him.

Mr. advantages and benefits. . Price Close
DO not discuss the price until you have discussed all the features.The Plan is only costly in comparison to your alternative saving plans .The Plan would only become expensive if you delay your decision . Prospect. just suppose of price would have not been your concern.12.It would only COST your family if you do not buy this Plan
. would you like to go for this plan? .

13. Referral Closing
Would you like to help me in my profession? Promise me. if you happen to know someone who needs a similar service or someone thinking on buying life Insurance. I should be the first person getting a chance to talk
.

We miss 100% of the sales we don¶t ask for
.

How many times do I ASK?
Extracts from Page 223 ± Ziglar 46% ask ONCE and quit 24% ask TWICE before giving up 14% ask THIRD time 12% hang in there to make FOURTH attempt = 96% QUIT after making 4 attempts to close 60% of all sales are made after fifth closing attempt ³4% Salesmen´ make these 60% SALES!
.

The Final ACT!
Ask for the Cheque Take the final signature And only then ask for other information to be filled in the form NEVER fill the application form before the cheque is taken. you might lose the sale
.